Law OKs HMO Bargaining

For examples, HMOs sometimes prohibit doctors from discussing all available treatments because they are too expensive.

Health care professionals forming voluntary association to negotiate HMOs could help counter their power. But they would risk running afoul of federal anti-trust laws.

“This not only reduces the ability of health care professionals to negotiate with HMOs on a level playing field, but also constitutes an unconstitutional violation of medical professionals’ freedom of contract and association,” Paul said.

Paul asserted that antitrust laws harm consumers by preventing the operation of the free market, causing prices to rise and quality to suffer, “and as is certainly the case with the relationship between the HMOs and the medical professionals, favoring certain industries over others.”